Trade-Ideas LLC identified
) as a "dead cat bounce" (down big yesterday but up big today) candidate. In addition to specific proprietary factors, Trade-Ideas identified bluebird bio as such a stock due to the following factors:
- BLUE has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $55.0 million.
- BLUE has traded 67,032 shares today.
- BLUE is up 4.8% today.
- BLUE was down 6.7% yesterday.
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More details on BLUE:
bluebird bio, Inc., a clinical-stage biotechnology company, focuses on developing transformative gene therapies for severe genetic and rare diseases. Currently there are 11 analysts that rate bluebird bio a buy, no analysts rate it a sell, and 3 rate it a hold.
The average volume for bluebird bio has been 1.7 million shares per day over the past 30 days. Bluebird bio has a market cap of $1.6 billion and is part of the health care sector and drugs industry. The stock has a beta of 0.78 and a short float of 21.3% with 3.73 days to cover. Shares are down 38.2% year-to-date as of the close of trading on Thursday.
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rates bluebird bio as a
. The company's weaknesses can be seen in multiple areas, such as its feeble growth in its earnings per share, deteriorating net income, disappointing return on equity, weak operating cash flow and generally disappointing historical performance in the stock itself.
Highlights from the ratings report include:
- BLUEBIRD BIO INC has experienced a steep decline in earnings per share in the most recent quarter in comparison to its performance from the same quarter a year ago. Earnings per share have declined over the last year. We anticipate that this should continue in the coming year. During the past fiscal year, BLUEBIRD BIO INC reported poor results of -$1.78 versus -$0.80 in the prior year. For the next year, the market is expecting a contraction of 163.2% in earnings (-$4.69 versus -$1.78).
- The company, on the basis of change in net income from the same quarter one year ago, has significantly underperformed when compared to that of the S&P 500 and the Biotechnology industry. The net income has significantly decreased by 152.1% when compared to the same quarter one year ago, falling from -$17.03 million to -$42.93 million.
- The company's current return on equity has slightly decreased from the same quarter one year prior. This implies a minor weakness in the organization. Compared to other companies in the Biotechnology industry and the overall market, BLUEBIRD BIO INC's return on equity significantly trails that of both the industry average and the S&P 500.
- Net operating cash flow has decreased to -$29.07 million or 39.94% when compared to the same quarter last year. In addition, when comparing the cash generation rate to the industry average, the firm's growth is significantly lower.
- Despite any intermediate fluctuations, we have only bad news to report on this stock's performance over the last year: it has tumbled by 53.48%, worse than the S&P 500's performance. Consistent with the plunge in the stock price, the company's earnings per share are down 93.44% compared to the year-earlier quarter. Naturally, the overall market trend is bound to be a significant factor. However, in one sense, the stock's sharp decline last year is a positive for future investors, making it cheaper (in proportion to its earnings over the past year) than most other stocks in its industry. But due to other concerns, we feel the stock is still not a good buy right now.
- You can view the full bluebird bio Ratings Report.